After a Series of Losses, How Can You Tell If a Strategy Has Failed and Adjust Your Trading Mindset?

In cryptocurrency trading, a series of losses can easily make you doubt your strategy. Some people rush to switch indicators, others keep increasing leverage to try to win back their losses, while some open positions frequently out of anxiety despite having no trading signals. The real issue to address is not just the losses themselves, but how to determine where the problem lies.

First, distinguish a normal drawdown from a failed strategy. Any strategy can go through a series of losses, and

What Exactly Are Stablecoins, and Why Are They So Important in the Crypto World?

In the cryptocurrency market, the prices of BTC and ETH can fluctuate sharply over a short period, but one type of asset is designed to do the opposite: maintain a relatively stable price as much as possible.

It is called a stablecoin.

But there is one key point: price stability does not mean there is no risk.

I. What Exactly Is a Stablecoin?

A stablecoin is a type of digital asset that seeks to peg its value to a reference asset. The most common target is the US dollar, though some are designed to be pegged

Why Can Long Positions Still Lose Money When the Funding Rate Is Positive?

In crypto perpetual futures trading, many people see a positive funding rate and assume the market is bullish, so holding a long position should make it easier to profit. But the funding rate reflects the payment mechanism between longs and shorts in the futures market; it does not guarantee that prices will rise.

First, a positive funding rate does not mean prices will definitely rise. A positive funding rate usually means longs pay funding fees to shorts, but prices can still be affected by spot selling pressure, ma

Why Does Higher Leverage Leave Less Room for Trading Errors?

In crypto futures trading, many people hope to amplify returns by increasing leverage, but overlook another fact: the higher the leverage, the less able an account is to withstand adverse price movements. A seemingly ordinary pullback can put a highly leveraged position at serious risk.

Suppose you open a position using the same margin and ignore fees, funding rates, and other factors. A 1% adverse price move would correspond to a return of about -5% on initial margin at 5x leverage, about -10% at 10x, and about -20% at 20x. This i

💥CPI just came out, and longs have already been put through the wringer. Are you really willing to chase this bounce?

The 4-hour chart since last night's CPI data came out

Selling volume clearly surged, with a wick down to 72691 before the rebound
But volume continues to shrink, and the funding rate is still positive, even ticking up slightly with the rebound, indicating bullish sentiment hasn't completely died out

The key is OI and CVD

OI actually rose during the decline, meaning it wasn't just longs getting liquidated—new shorts were entering at an accelerating pace

OI only dipped slig

What is trading system backtesting? How can historical data be used to test a strategy instead of judging its effectiveness based only on intuition?

In cryptocurrency trading, a strategy that seems logical is not necessarily profitable. Trading system backtesting means applying clearly defined trading rules to historical market data, simulating past trades, and assessing the strategy’s returns, risks, and stability.

First, what should you define before backtesting?

Start by defining the trading instrument, time frame, entry conditions, stop-loss and take-profit rules, position size, and exi

10,000 U in principal, currently 1.54 million U

$COAI ‌The market has recently transitioned from a strong downtrend into a consolidation phase, indicating a potential structure change. After a sharp drop to the 24h low of 0.2022, the price has stabilized and is currently trading at 0.2084. On the K-line, we can see the price is now testing the middle Bollinger Band (MB: 0.2072) as resistance, while finding support near the lower band (LB: 0.2037). The MACD histogram is showing reduced bearish momentum (bars turning lighter/less negative) and the MACD lines are flattening near the zero line, suggesting the selling pressure is exhausting.

T

November 11 | ETH's plan for today

Yesterday, ETH fell on heavy volume, hitting a low near 2003 before rebounding to around 2058.

Although it has recovered somewhat, resistance overhead has not yet been broken. Recent long positions have been stopped out repeatedly, so I won't consider going long today for now and will prioritize waiting for a rebound to short.

Key levels to watch today:
- 2070—2090: rebound shorting zone
- Stop-loss: above 2110
- First target: 2050
- Second target: 2020
- Extended target: around 2005
If it rebounds to around 2080—2100 and shows clear resistance, a short op

The hotter-than-expected CPI has locked in a December rate hike; Bitcoin has only one path left: a corrective rebound, then another drop

First, my conclusion:
The CPI release directly affects Bitcoin shorts in two ways

1. The market sees a 25-basis-point rate hike in December as 100% certain
2. CPI has exceeded expectations for three consecutive months, and Waller agreed to a 50-basis-point hike, amplifying yesterday's drop and helping us catch a long at 72899 and exit at 84000 today

Waller has now signaled a 50-basis-point hike. Bitcoin's direct drop is the market pricing in expectations o

This blogger is pretty good. I’ve been following them for less than a week, and it’s already doubled. This is my first time making money through copy trading

Crypto liquidity is terrible right now—it keeps falling, and I keep buying the dip.

Look at U.S. stocks: this rebound has still paid off. I think those of us who opened long positions near the bottom in U.S. stocks can keep holding, then close out once the rebound runs its course and the market starts moving sideways.
But these past two months have also been a good time to gradually build long positions in BTC and ETH. No need to keep studying candlestick charts—if you're bearish, don't short. Gradually buy the dip and build positions, then wait for a small bull market toward the end of the y

Cross-chain transfers are not simply about moving coins: 4 questions to understand before transferring

In the Web3 world, cross-chain technology connects assets and applications on different blockchains. But that doesn’t mean assets can move freely between networks without risk.

A cross-chain operation may involve locking and minting, burning and releasing, liquidity pools, or other cross-chain message verification mechanisms. Different mechanisms come with different trust assumptions and risks.

If you’re preparing to make a cross-chain transfer, it’s worth understanding these four things f

What Is Scaling Out of a Position? How Can Staged Exits Balance Locking in Profits with the Opportunity to Stay in a Trade?

In cryptocurrency trading, after prices rise, traders often face a dilemma: selling everything may mean missing further gains, while continuing to hold risks giving back profits. Scaling out means dividing a position into several portions and exiting gradually at different prices or under different conditions, balancing locking in profits with retaining the opportunity to participate in further market moves.

First, what is scaling out?

Scaling out means selling part of

How to Set Stop-Losses and Position Sizes? Protect Your Trading Account with Risk Management

In cryptocurrency trading, judging the market’s direction is certainly important. But even if you correctly predict the trend, an oversized position can expose you to unacceptable losses from a single pullback. Truly experienced traders consider not only where to enter, but also how much they can afford to lose and how much they should buy.

First, determine the maximum acceptable loss for a single trade. Suppose your account holds 10,000 USDT and you plan to limit the risk on each trade to 1% of your

Blockchain Is Not a Magical Ledger: How Is a Transaction Verified, Recorded, and Shared?

Many people have heard of blockchain and know it is related to Bitcoin, smart contracts, and Web3, but not many truly understand how it works.

The key to blockchain is not just storing data in a block, but enabling multiple participants to verify and record data according to shared rules, and maintaining ledger consistency through specific mechanisms.

I. Understanding Blockchain by Starting with a Transaction

Suppose you transfer funds to another wallet.

First, the transaction is initiated. The wallet

What exactly makes girls unable to tear themselves away?

😂 My X account is currently under new management.
Management is me, but apparently I'm on annual leave. 😭
I have ideas to post, updates to share, and lessons to teach, but somehow I keep choosing silence.
Even my followers might be wondering if I've been kidnapped by my own busy schedule. 😂
Don't worry, I'm alive. Just buffering... ⏳🤣
#BuildInPublic #SoftwareEngineering #100DaysOfCode